Calculate the Combined Equivalent Value in Five Months from Now

question 130

Short Answer

Calculate the combined equivalent value in five months from now of a payment stream consisting of $1000 payable today and $1500 payable in five months? Assume money can earn 5.5%.

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Definitions:

Dependent Variable

In an experiment, the variable that is being tested and measured, which is expected to change as a result of manipulations to the independent variable.

Operational Definition

A description of a concept solely in terms of the specific process or set of validation tests used to determine its presence and quantity.

Decibel Level

A unit of measurement for the intensity of sound, defined as ten times the logarithm to base 10 of the ratio of two power levels.

Anger

A strong emotion characterized by feelings of hostility, frustration, or antagonism towards someone or something perceived to have caused harm.